Carbon arc gouging is used sometimes to do what you are doing John,,,I've used it,but its been a long time,,but they use it sometimes in powerplants to cut out old welds,,,I've only been around it using a stick machine,using dc electode postive,but they may have rods that can be used on ac.
You have this rod holder,thats got a connection for air and a block to hook up your stinger,,,,the rod holder has a little button that lets air out a couple little holes that blows out the melted steel your carbon rod makes,,,kinda like oxy/acetylene cutting,but made to blow out melted steel better.
Works good for cutting out a weld or gouging out a groove. Uses a good bit of amps though,,,not sure how many,,but you can only get the rod down to about 5/32 I think,good bit of air pressure to,,,,makes a **** of a noise,and sparks fly every where,,,,,,but you could probably make a foot long big ugly fillit weld disapear in 3-4 min,,not hard to use either,,,thingy